DBS Bank and Infor Nexus Join hands to Improve SME Financing
Infor Nexus and DBS Bank announced a collaboration on Aug 18 to improve pre-shipment financing for small and medium-sized enterprises (SME) suppliers in the Infor Nexus supply chain ecosystem. To supplement pre-shipment financing, this trade financing solution will use historical data from the Infor Nexus platform to provide data-driven lending solutions that will assist suppliers in meeting their working capital needs.
Pre-shipment financing enables suppliers to fulfil orders before goods are delivered to buyers by utilising their increased cashflows. As one of the first banks to offer such a service, DBS hopes to help suppliers reduce cashflow needs that arise between shipment, delivery, and payment.
"The innovative e2e working capital finance offering will not only address the manufacturer's cashflow needs to produce goods (per PO), but will also enable them to collect export proceeds in a timely and cost-effective manner through a trusted partner - Infor Nexus," Divyesh Dalal, MD and Head, Global Transaction Services, DBS Bank India, said.
He went on to say that the availability of Purchase Order finance fills a long-unmet need among SME/MSME manufacturers.